As part of its 2016-2020 National Plan for Economic and Social Development, the Government of Burkina Faso intends to increase the use of PPPs as a mechanism for procuring and financing infrastructure projects and public services as well as to restore soundness in public finances. This commitment has been taken at the highest level by the Prime Minister who leads the coordination of an inter-ministerial committee on PPPs. The Prime Minister also oversees the overall policy support for PPPs from the Government, which is made of key government and non-government entities involved in the development of PPPs in the country.
In response to the Government of Burkina Faso’s efforts, PPIAF agreed to fund an upstream strategic activity aimed at strengthening the framework for public-private partnerships (PPPs) in the country. This activity was jointly implemented by the IFC's PPP Transaction Advisory Department and the World Bank's Finance, Competitiveness & Innovation Global Practice. It comprised three key components: (1) diagnostic and strengthening of the legal and institutional framework for PPPs in Burkina Faso; (2) identification and analysis of a pipeline of potential PPP projects; and (3) capacity building for stakeholders involved in the development of PPPs.
Component 1 recommended to complete and harmonize the legal and institutional frameworks for PPPs to fill the gaps impeding the development of a successful PPP program. Component 2 scrutinized a list of 94 projects across various infrastructure sectors and revealed a long-list of 17 projects that could potentially be implemented as PPPs. Component 2 also supported the development of two business cases out of the project long-list as pilot PPPs. Finally, Component 3 hosted two PPP workshops in the capital city Ouagadougou and trained about 50 participants from the key government and non-government entities involved in the development of PPPs in Burkina Faso.
Conclusions and recommendations of this activity were fully endorsed by the Government of Burkina Faso plans to pursue its PPP reform agenda. Concretely, a statement from the Prime Minister was tabled to President in October 2018 to announce the main axis of the PPP reform, which encompasses (1) the establishment of an operational framework for PPPs based on a new PPP strategy and revised PPP texts, as well as framing unsolicited bids and the practice of MOUs; (2) the operationalization of the institutional scheme by clarifying the roles of the different public actors in the PPP process; and (3) the development of analytical tools for the effective implementation of PPP projects.
PPIAF is now considering a second grant to support the Government of Burkina to implement its PPP reform agenda.